Saturday, September 12, 2009
Bank boss wary of quick recovery
A slow, smooth recovery from recession would be far better than a rapid bounce, Stephen Hester, chief executive of Royal Bank of Scotland, has said.
He told BBC business editor Robert Peston that "a rather gradual emergence from recession" where the economy could "rebalance" was the best way forward.
He warned a "spend-not-save" culture could mean further economic downturn.
Mr Hester was made RBS boss in November 2008, at the same time as the bank had to be rescued by the government.
A 70% stake is now held in RBS by UK taxpayers.
'Lost decade'
Mr Hester told our correspondent he wanted to see a situation "where people can save more, borrow less, the balance of payments deficit closes, the government gets its own deficit under control".
He said the priority for the UK was to reduce the indebtedness of public sector, households and businesses.
But if we returned to our ways of the boom years, where households and businesses spent but did not save, he warned that the UK could face a "Japanese-style lost decade".
That would be a decade "where the economy is highly unstable, or, worst case, we actually have another down period - a so-called W-recession".
So Mr Hester described a fast recovery, were it to happen, as "dangerous".
Mr Hester also told our correspondent that his parents, who are academics, believe that "bankers get paid too much".
DATED: 12.09.09
FEED: BBC
Used Car Values
Second-hand cars are gaining rather than depreciating in value due to a shortage in supply, an industry-wide research company has found.
CAP Motor Research Ltd, which provides valuation data to the car industry, said the usual 15%-a-year depreciation of used car prices has been reversed.
Companies delaying replacing their fleets and the government scrappage scheme has led to a shortage in supply.
This year the average family car has increased in value by about £600.
Mike Hind from CAP Motor Research Ltd told the BBC: "What usually happens in the second-hand car market is a steady depreciation.
 |  Nearly everything that comes in is being sold at the moment and that is very, very unusual  Tim Naylor, British Car Auctions |
"But this year we have seen the complete reversal of that, with used-car prices rising on a month-by-month basis by about 3.5% which is translating into really big rises in the values of used cars."
Mr Hind added: "The high values are good news if you want to sell your car but not so great for second hand dealers or anyone trying to pick up a bargain."
Tim Naylor, from British Car Auctions, told the BBC the price rises he has seen in 2009 have been "completely unprecedented".
He said: "Prices have gone up between 25 and 30% depending on the car.
"Nearly everything that comes in is being sold at the moment and that is very, very unusual."
| SECOND-HAND CAR PRICE RISES Peugeot 107 Urban 07/07 plate, 20,000 miles: Jan value £4,575 - Sept value £4,850 = +£275 Ford Focus 1.6 Zetec 5dr: 06/06 plate, 30,000 miles: Jan £4,700 - Sept £5,625 = +£925 VW Passat 2.0 SE Tdi 4dr, 06/06 plate, 30,000 miles: Jan £7,550 - Sept £8,850 = +£1,300 Land Rover Discovery 2.7 V6 Tdi SE, 06/06 plate, 30,000 miles: Jan £16,600 - Sept £20,000 = +£3400 |
Professor David Bailey of Coventry University Business School said he believed the scrappage scheme would be short-lived.
Prof Bailey said: "The way it's going the scrappage scheme will run out of money in October, so we may see a reversal in the new car market."
In April, used-car magazine Parker's reported that for the first time in the UK new cars were cheaper than used ones.
The firm said the anomaly was caused by the dearth in used cars, combined with a recession-led fall in demand for new cars, which has forced carmakers to slash prices.
DATED: 12.09.09
FEED: BBC
Friday, September 11, 2009
Rover bosses attacked over payout
Bosses running carmaker MG Rover - which collapsed with the loss of 6,500 jobs - gave themselves "unreasonably large" payouts, a report has found.
Pay and pensions worth £42m was shared by five executives, which inspectors said was "out of all proportion".
The men face a ban from running other companies, says the government.
The so-called Phoenix Four, plus chief executive Kevin Howe, described the report as a "witchhunt" and a "whitewash for the government".
"Our remuneration was not the reason for the collapse. The real reason is the government bungled the last chance to save MG Rover," said Mr Howe, chairman John Towers, ex-vice-chairman Nick Stephenson, Peter Beale and John Edwards.
But Business Secretary Lord Mandelson criticised the men for not showing "an ounce of humility" and called on them to apologise.
The demise of MG Rover brought an end to mass production of cars by a UK company.
Data erasing
The Serious Fraud Office (SFO) has said it does not intend to launch a criminal investigation into the collapse, which saw about 6,500 people lose their jobs.
The 830-page report, which took four years to produce and cost about £16m, contains little criticism of the government.
Other findings include:
- Mr Beale bought software to "clean" data from his personal computer, a day after investigators were appointed, "despite being aware that we would want to image and then review the contents of his computer for documents relevant to our investigation"
- Mr Stephenson paid more than £1.6m to a consultant he had a "personal relationship" with
- Executives had exaggerated in statements to MPs the personal financial risks they were taking
- MPs investigating the demise of the firm were given "inaccurate and misleading information" by Mr Beale
- There was evidence of a questionable briefing to the press by an adviser to former Trade Secretary Patricia Hewitt.
The five "obtained large, and we say unreasonably large, financial rewards, totalling tens of millions of pounds" between 2000 and 2005, the report said.
They also "chose to give themselves rewards out of all proportion to the incomes which they had previously commanded, which were also large when compared with remuneration paid in other companies and which were not obviously demanded by their qualifications and experience", it added.
Had the venture succeeded, there would have been little objection to the rewards, the inspectors suggested, but said MG Rover was "in fact very unprofitable and eventually went into administration".
Bridging loan
The four took control of MG Rover in May 2000 after buying it from previous owner BMW for a nominal £10, also getting an interest free 49-year loan of £427m from the German carmaker.
The executives were eventually unable to turn around MG Rover's fortunes and it went into administration under insolvency procedures in April 2005, with debts of more than £1bn.
Its assets were subsequently sold in 2006 to China's Nanjing Automobile, which revived the MG sports car brand, but moved most of the production to China. Before its demise, MG Rover had held talks about a joint venture with the Shanghai Automotive Industrial Corporation (SAIC).
The report said that the government could not be blamed for the collapse of those talks - and that SAIC had lost interest in Rover.
The UK had been "seriously" considering offering a £100m bridging loan to aid the deal - but decided there was little realistic prospect of it being repaid.
"To make a loan in such circumstances could hardly have been a proper use of public funds and would (as we understand it) have been illegal under EU law", the report said.
Belgium wants probe of Opel sale
Belgium wants the European Union to investigate Germany's role in the sale of General Motor's European units.
GM decided to sell Opel and Vauxhall to Germany's preferred bidder, Canadian car parts manufacturer Magna.
Magna has said that it will keep all four German plants open, but it has suggested it could wind down production at a plant in Antwerp.
"I think the German government sought its own advantage," said Belgian Vice Premier Joelle Milquet.
State aid rules
Germany had been pushing for the sale to Magna, which is backed by Russia's Sberbank.
The government has already lent 1.5bn euros to Opel, and will now put up an additional 3bn euros in loan guarantees for Magna.
Belgian Foreign Minister Yves Leterme also backed calls to have the European Commission probe the deal. He said Belgium would bring the GM sale up at a meeting of EU ministers next week.
The European Commission said it was following the GM sale process "very closely".
"The Commission has underlined that the financial support must be fully compliant with all aspects of the EU's state aid and internal market rules," it said.
"In particular, state aid cannot be subject to additional non-commercial conditions concerning the location of investments and/or the geographic distribution of restructuring measures."
The EU's executive body added it will be "attentive" to the "social consequences" of the sale as it comes to a conclusion about its legality.
German guarantee
The German-led Opel Trust - containing representatives from GM, the German federal government and the German states that contain Opel plants - has controlled the European operations since GM sought bankruptcy protection in the US in June this year.
The trust's chairman, Fred Irwin, said on Thursday that they had recommended - "given the burden on German taxpayers and for the sake of German jobs" - that those guarantees be used for Opel in Germany only.
The sale to Magna is being seen as a victory for German chancellor Angela Merkel - who said she was "very pleased" about it - just two weeks before the national election.
Opel employs a total of 54,500 workers across Europe, with 25,000 based in Germany.
British unions have expressed concern about the long-term future of Vauxhall's 5,500 UK workers and its two British plants in Luton and Ellesmere Port.
Magna has also suggested shifting some production from a plant in Zaragosa in Spain back to Germany.
Ford engine lines roll over weekends to satisfy scrappage demand
Ford's UK engine production has been ramped up to meet demand triggered by European scrappage programmes.
Ford's strong sales led to the company's Dagenham and Bridgend engine plants introducing extra weekend working. Their August production volumes were up by 36.5 and 18.3 per cent year-on-year respectively.
With UK orders now running at over 21,250 vehicles, additional weekend shifts had to be introduced last month prior to busy trading during September's '59' plate debut.
Ford Dagenham introduced three extra weekend assembly shifts to boost 1.4 and 1.6 Duratorq diesel engine supply. Ford Bridgend also inserted additional shifts to produce the required number of 1.25, 1.4 and 1.6-litre Duratec petrol engines.
Ford's Dagenham and Bridgend plants employ a total of 4,000 engine production specialists.
Nigel Sharp, Ford Britain managing director, said: "Ford showrooms are enjoying the sales rush triggered by a new registration plate, limited remaining scrappage subsidies and growing awareness of January's VAT increase. I'm delighted that Ford plants are feeling the benefits too."
While the plants satisfy demand throughout Europe, the UK is Ford's largest European market. August output at Bridgend was 22,000 Duratec units, compared with 18,600 in 2008. Dagenham built 19,000 Duratorq engines compared with 13,920 in August 2008.
With scrappage scheme registrations dominated by retail customers, increased deliveries of Ka, Fiesta and Focus models drove up Ford's private cars sales by more than 25 per cent last month.
Mandelson rules out scrappage scheme extension
Business Secretary Lord Mandelson has ruled out extending the vehicle scrappage scheme in a move likely to anger motor industry leaders who say that the programme is crucial to Britain's broader economic recovery.
Lord Mandelson said he had 'no plans for extending or renewing' the scheme, under which drivers of cars and vans 10 years or older receive a £2,000 subsidy if they buy a new vehicle.
With the programme's £300 million budget already running low, Britain's carmakers and retailers have called for its extension.
Almost 200,000 vehicles have been ordered under the scheme since its launch in the spring.
Interest Rate Announcements
Bank of England Maintains Bank Rate at 0.5% and continues with £175 Billion Asset Purchase Programme
DATED: 11.09.09
FEED: BoE
Magna is buying Opel and Vauxhall
General Motors (GM) has chosen the Canadian car parts manufacturer Magna to buy Opel and sister firm Vauxhall, Germany says.
Chancellor Angela Merkel said that GM have attached conditions to the sale.
Earlier, there had been rumours that GM could be planning to try to keep control of its European arm.
Magna was the German government's preferred bidder. The decision must be approved by the Opel Trust, which is due to hold a press conference shortly.
BBC business correspondent Martin Shankleman said this was the option that the GM board had indicated it did not want.
The UK unions were also against it as they feared the UK could be at the forefront of any job losses, he said.
Magna has pledged to keep all German plants open.
Chancellor Merkel said that "patience" during discussions had led to a decision being reached.
The German-led Opel Trust has controlled the European operations since GM sought bankruptcy protection in the US.
It contains representatives from GM, the German federal government and the German states that contain Opel plants.
The rival offer had come from the Belgian investment group RHJ.
Ministry push for low-carbon cars
The UK must develop the world's leading ultra-low carbon vehicle (LCV) industry, according to Science Minister Lord Drayson.
At the LCV 2009 event, he officially launched the Office for Low-emission Vehicles (OLEV) announced in July.
Rather than a "mere talking shop", Lord Drayson stressed that the office will address both supply and demand concerns that presently limit the industry.
A range of low- and ultra-low carbon vehicles was displayed at the event.
But Lord Drayson made a sharp distinction between the two.
He argued that the UK could gain particular advantage in the development of ultra-low carbon vehicles, such as electric cars, instead of low-carbon cars like combustion/electric hybrids.
He said the UK's focus should be "where [it] has a realistic prospect of being a global leader; and where we possess real competitive advantage".
"In the car industry, I believe that means making a distinction between low-carbon and ultra low-carbon vehicles.
"Our priority must be to make the world's leading ultra-low carbon car industry in the UK."
Wednesday, September 09, 2009
Lombard pulls out of broker and private leasing
The country’s third largest vehicle lease company, Lombard Vehicle Management (LVM), has stopped using brokers to introduce new business.
It has also ceased accepting new business within its Jamjars Cars business, choosing to step away from consumers to focus on businesses.
The Royal Bank of Scotland (RBS), which owns LVM as well as Lombard Business Finance, said the decision to stop using brokers across both operations could result in up to 85 job losses.
The decision means Lombard will now have to develop direct relationships with all its fleet customers and source new business itself.
To help, it will develop closer ties with RBS and its corporate customers – RBS is the country’s largest lender to small and medium businesses - so that it can “get to know more about their underlying business” and develop the right funding method for their vehicles, explained an RBS spokesman.
“As a result of this change we will be working even closer with our colleagues in the bank’s business, commercial and corporate channels to support their customers’ asset finance requirements.”
It also means the bank has more control over the credit business it writes.
“This change to our operating structure will also help us credit manage our book more effectively by dealing directly with the customer from the outset.”
RBS would not reveal the scale of its broker fleet business, although it said there would be an “initial impact” from its decision on LVM’s business.
However, it stressed that the decision was about a change in the way it gets new business rather than an attempt to pull away from the fleet market.
“Lombard remains the UK’s largest asset finance provider and this is about a change in our distribution model for these business units as opposed to any scaling back of provision of finance to the market,” said the spokesman.
“Lombard Vehicle Management will now deal directly with customers on their asset finance requirements.”
DATED: 09.09.09
FEED: AM
Consumer morale increases
The UK's recovery prospects were brightened by survey results which showed consumer morale jumped in August while employers took on more staff and price pressures eased.
The Nationwide Consumer Confidence index rose to 63 in August from an upwardly-revised 61 in July. That was the highest since May 2008 and reflected Britons' more upbeat view on current and future conditions as well as a greater willingness to spend.
A separate survey by the Recruitment and Employment Confederation and accountants KPMG showed the number of job appointments rose last month for the first time in over a year.
On inflation, figures from the British Retail Consortium showed shop prices fell 0.1 percent last month to register their first negative reading since February 2007.
Reuters reported that the surveys provide an upbeat backdrop for Bank of England policymakers who kick off a two-day meeting to debate monetary policy on Wednesday.
While the Bank has acknowledged the brighter tone of recent data, it remains concerned about the strength and sustainability of any economic recovery and is not expected to change interest rates or its 175 billion pound asset purchase scheme this week.
DATED: 09.09.09
FEED: AM
Koenigsegg secures Saab funding
Koenigsegg Automotive, the high-performance sportscar maker, is poised to announce additional funding behind its purchase of Saab Automobile after weeks of uncertainty over the deal.
Koenigsegg has been scrambling to secure fresh investment to complete the acquisition of Saab from General Motors.
Officials at Saab and the Swedish government said Koenigsegg planned to announce a new financial plan in the coming days that would plug the roughly ?300 million shortfall, without needing further government aid.
Although the source of the finance is unconfirmed, speculation today (Tuesday, September 8) has centred on China' largest automaker, SAIC Motor, taking a stake.
Koenigsegg finalised terms with GM last month but warned that financing was not fully secured.
Completion of the deal will mark a step forward in GM's restructuring as it narrows its range of brands and offloads loss-making units.
Electric car charging points plan
Nine cities and towns in England are to have charging points for electric and hybrid fuelled vehicles under an £11m development plan.
Birmingham, Coventry, Glasgow, London, Middlesbrough, Milton Keynes, Oxford, Newcastle and Sunderland will be the first to benefit from the scheme.
The Energy Technologies Institute (ETI) is behind the development of the plan.
It will eventually go national with the aim of creating a compatible network of recharging points, a spokesman said.
The new plug-in facilities and the attitudes of users to the network will be monitored to assess location of sites and costs of charging.
A number of trials are already under way across the UK with the largest involving 340 vehicles some of which are totally powered by electricity and others with carbon fuel engines charging on-board batteries.
Most journeys in cities and larger towns are about 40 miles on average and the government believes electric cars are ideal.
The aim is to have 50,000 electric vehicles on the road by 2015 but present technology limits even the most advanced units to 150 miles from a two-hour electric charge.
The aim of ETI is to develop a self-sustaining market through offering incentives to drivers.
Developing mass market
Their scheme is called the Joined-Cities Plan and was unveiled at Low Carbon Vehicle Show at the Millbrook vehicle testing ground in Bedfordshire.
ETI chief executive David Clarke said: "Enabling plug-in vehicles to compete effectively in a market alongside petrol and diesel vehicles with their extensive infrastructure is a challenge.
"These plug-in vehicles are currently unknown to most consumers, who will want to know if they will be versatile, will they be affordable and will they be as easy to refuel/recharge.
"Through the Joined-Cities Plan we will help to enhance the versatility and ease of recharging.
"Other aspects of the ETI project will determine what it will take to reach a self-sustaining mass market."
London mayor Boris Johnson, who was at the show, said: "Moving to using electric vehicles which emit zero pollution will have a major impact on cutting carbon emissions, improving air quality and reducing noise pollution.
"I want to make it much easier to go electric which is why in London we are planning to roll out 25,000 charging points.
"So I'm delighted that the capital is part of the joined cities network helping to speed up the electric revolution across the country."
China's Geely may bid for Volvo
China's Geely Automotive says its parent company would bid for Volvo if Ford decides to sell the Swedish firm.
The company said it would make an offer in conjunction with a government-backed investor and it expected Ford to decide whether to sell Volvo within a month.
The purchase would be a big step for Geely, which is currently a relatively small domestic carmaker.
It already has a joint venture with Manganeze Bronze to make 8,000 London taxis in China.
Geely used to make the cheapest cars in China but has been moving towards appealing to more affluent customers.
Marque sales
Chinese carmakers have expressed a great deal of interest in buying international car marques, although there has been limited success so far.
Sichuan Tengzhong Heavy Industrial Machinery has agreed to buy the off-road Hummer brand from General Motors.
Nanjing Automobile bought the assets of MG Rover in 2006 and Shanghai Automotive may end up owning a stake in Saab Automobile as part of the takeover by the luxury carmaker Koenigsegg.
Although Ford has not faced the same difficulties as its domestic rivals GM and Chrysler, it has still found itself having to sell some of its marques to concentrate on its core US carmaking business.
Last year, it sold Jaguar and Land Rover to India's biggest carmaker Tata for $2.3bn (£1.4bn).
In 2007 it sold its Aston Martin marque to a UK-led investment consortium.
Premium carmakers face challenge of an ageing population
Luxury carmakers, including Germany's Audi, BMW and Daimler, which are still reeling from the collapse in demand for new cars due to the economic crisis, face a new threat to sales - old people.
Globally the population is ageing and that means significant changes to buying habits forcing companies to revamp their product ranges.
Customers old than 60 years represent less than 30% of car buyers in the developed markets. However, by 2020 that figure will have increased to 40%.
While some carmakers such as Daimler have a strong brand identity among the over 60s and could benefit from an ageing society, other marques don't. Meanwhile, older buyers typically prefer smaller and less expensive 'easy to handle' cars.
However, that view is disputed by BMW head of sales Ian Robertson, who says customers want a choice. He said: "Older buyers buy BMW for the same reason as younger ones: Because the brand projects a sporty, dynamic and youthful image."
Tuesday, September 08, 2009
Infiniti opens first UK site in Reading
Rymco UK
It is being operated by Rymco UK, a partnership set up by Rasamny Younis Motor Company, a leading automotive retailer in Lebanon since 1957.
Rymco UK is headed up by managing director, Paul Atkinson who has experience of retailing in the UK premium car sector.
Rymco UK plans to open more Infiniti Centres in and around London and next year new centres will open in London, Birmingham and Glasgow.
Stockport and Leeds
In 2011 a further four Infiniti Centres are planned for Stockport and Leeds, with two more in London serving the north and south of the capital.
Infiniti stores are aimed to have the feel of a boutique hotel or a luxury store with original paintings hanging on walls, furniture designed by Walter Knoll and an entrances surrounded by Travertine stone, a form of limestone.
The Reading centre has and eight-bay workshop, a bodyshop and parts department.
Warranties
New cars come with 60,000 miles or three year warranties, 12-year anti corrosion and three years protection against paint defects.
Customers get their own account manager and free collection and delivery within a 150 mile radius.
The Infiniti range includes saloon, coupe and convertible versions of the G37. G37 prices start from £30,300.
The EX crossover prices start from £35,200 and the FX, a full size crossover is priced from £42,600. The V8 flagship FX50S costs £53,800.
DATED: 08.09.09
FEED: MT
UK dealers set for Nada 2010
Once again Motor Trader is joining forces with ASE (Incorporating Trevor Jones), the specialist motor trade services firm, to co-host a visit to the annual National Automobuile Dealers Association (Nada) convention.
The event will be held in Orlando, Florida, from 11-17 February and will provide UK dealers with an unrivalled opportunity to hear some of the world's best automotive speakers addressing key issued from new and used car retailing and dealer marketing to stocking processes and staff management
Extensive programme
Alongside the speaker programme, Nada also features an extensive trade show highlighting many products ahead of their UK launch.
Since 1996 ASE has taken hundreds of UK dealers to Nada where they have picked up and implemented bottom line boosting best practices. A regular highlight of the trip is a visit to a US dealership.
The event also provides a unique opportunity to network with fellow dealers and industry associates.
DATED: 08.09.09
FEED: MT
Hyundai appoints 10 new dealers
New openings
The 10 dealers, some previously announced, includes openings for Whitehouse Maidstone Hyundai, Chorley Hyundai in Blackpool, Beechdale Hyundai in Derby, Marshalls Hyundai of Cambridge, Adam Purves Hyundai in Galashiels (Scottish Borders).
Also on board are Tunbridge Wells Hyundai, Platinum Hyundai in Chippenham, Keith Garages Hyundai in Aylesbury, Loders Hyundai in Yeovil and Benfield Hyundai in Newcastle.
The dealerships will be up and running by early September.
Staunton comment
Hyundai national network development manager Michael Staunton said: "We always have a great deal of interest in the franchise.
"However, over the last few months this has increased dramatically as prospective dealers see the really strong business proposition that the franchise offers, underpinned by our unique five year unlimited mileage warranty."
Hyundai has seen its UK sales rocket on the back of the scrappage scheme, up 323 per cent in August alone with the i10 the third best selling car in the UK.
DATED: 08.09.09
FEED: MT
UK car dealers rate Audi as top car franchise
Toyota is second
Toyota was the second most rated franchise, making significant improvements in its performance since the last survey and fast expanding Kia was in third place.
Dealers were asked how they rated the current profitability of their business. The top performer here was Toyota, closely followed by Kia and in tying in third place Audi, Honda, Lexus.
Looking ahead, dealers were asked how they rated franchises on their future profitability. Toyota, again, was the top performer followed by Audi and Kia tying in second slot and Volvo and Lexus in third position.
Working together
"The need to work together through tough economic conditions has caused certain vehicle dealer-manufacturer relationships to improve in recent months,' according to Sue Robinson, director of the RMI National Franchised Dealers Association (NFDA).
The survey found:
• 91 per cent of dealers have become more satisfied by the profit return represented by their franchise since the last survey.
• 73 per cent of dealers have become more satisfied with their relationship with their manufacturer since the last survey.
• 61 per cent of dealers have become happier about their ability to work with their manufacturer on a daily basis.
• 55 per cent of networks report that their manufacturer takes their views and opinions into account.
Tough trading
Robinson said: "The industry has survived through the very tough trading conditions at the end of 2008 and the start of 2009, and has now begun to see some improvement in the market following the introduction of the scrappage programme, and a strong used car market.
"In these times, knowing you can trust those you are in business with is vital, and a number of dealers seem to have found that their manufacturer is more of a partner than they may have previously realised."
DATED: 08.09.09
FEED: MT
7% Hike in Frauds - FLA
Attempts up 7 per cent
The FLA estimates that attempts at fraud have risen by over 7 per cent in the first half.
The FLA said however that its members have beefed up their security and cut cases of motor finance fraud by 29 per cent in the second quarter of 2009, despite the increase in attempted fraud.
Almost 2,500 cases of attempted motor finance fraud were prevented in Q2 2009.
Acording to the FLA, if these applications had not been detected, over £30m of credit would have been obtained by fraudsters.
£66m worth of fraud prevented
In the first half, motor lenders have prevented over 5,700 fraudulent deals worth £66m.
The most common car acquired through fraud was the BMW 3 Series and according to the FLA figures, London is the fraud crime capital of Britain.
The most common fraud offence was application fraud - where customers give false information on their application, such as overstating their income or failing to disclose an address linked to poor credit history.
Application fraud accounted for 37 per cent of all cases and 30 per cent of FLA fraud cases were the result of ‘conversion' where customers sold cars on finance before settling the outstanding debt.
Paul Harrison, Head of Motor Finance at the FLA, said its members were fighting fraud to keep the cost of finance down for customers.
DATED: 08.09.09
FEED: MT
Pentraeth helps customers deal with accidents
Accident management firm Easi-Drive has agreed a new deal with Pentraeth Automotive Group in North Wales.
Easi-Drive will handle all the non-fault accident claim referrals that come into its dealerships.
Pentraeth Group has seven franchises at one location at Anglesey, including Volkswagen, Audi, Seat, Kia, Suzuki, Mazda and Mitsubishi.
It also has a Honda dealership and Volkswagen and Mazda workshops in Llandudno.
Accident packs will be placed in all vehicles, which will include items such as a camera, and will also comprise of Easi-Drive contact details and information for the driver to use in the event of an accident.
DATED: 08.09.09
FEED: AM
